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"We lose money of every sale, but we make it up on volume"

Idiotic comment.

The article does a bad job explaining what "unprofitable" means. Unprofitable on a pure gross margin perspective? After you take into account warranties or financing? Unprofitable after you amortize R&D?

It should be more clear on what they mean finance-wise there.

That's what happens when you create an article out of a couple of tweets.

Only if the fixed costs are not a large part of the price.

It's like the Michael Scott Paper Company all over again.

You mean, only if the fixed costs are a large part of the price?

Fixed costs don't scale with production because they're fixed.

If variable costs are nearly all the cost of production, then scaling production doesn't fix anything.

Yeah. It’s mildly sarcastic. The costs of machinery, factory, people are fixed. They are not breaking even because they are not working at full capacity